“Health disparities accounted for relatively little of the race/ethnicity
gaps in income, which appeared to be associated much more strongly with
disparities in education,” says study author John Bound, Ph.D.,
of the Population Studies Center at the University of Michigan.
Health conditions that limit or prevent people from working occur more
frequently among all workers as they grow older, as might be expected.
But Bound says that limitations caused by poor health have a greater impact
on minorities.
“The prevalence is higher for blacks and Native Americans than for
whites,” he says, “and it rises with age more steeply for
them than for whites.”
The impact of these disparities increases, as well, Bound says. Health
disparities account for only 3 percent to 9 percent of the employment gap
between black and white men aged 25 to 34, but between 17 and 41 percent
of the gap between men 55 to 64. A similar pattern exists for Native American
men and for black and Native American women.
Bound and his colleagues based their findings on a nationally representative
sample population drawn from the 1990 U.S. Census. They documented strong
associations between health and labor market outcomes — like employment
and earnings — among black, Native American and white respondents
to the Census Bureau’s long form. The researchers validated this
source by comparing their results to other federal studies of health
status, employment and income.
In general, people who reported having a health problem that limited their
ability to work were less likely to be working than those without such
limitation and who had similar educational backgrounds. Black/white disparities
in health account for between 21 percent and 39 percent of the gap in employment
between the two groups, Bound says.
Health disparities also partially account for higher use by blacks and
Native Americans of public assistance programs. Since the studied population
consisted of working-age people under age 65, the major assistance program
used was Social Security Disability Insurance. The combination of lower
employment status and higher participation in public assistance programs
slightly lowered household income, especially among those aged 45 to 64.
However, Bound says, income is more strongly affected by education: “Differences
in education account for between 52 and 84 percent of the race/ethnicity
disparities in income.”